Day Trading Rule #5 – I did it my way

Over time, you might find that pullbacks are good but that:

Early in the day, swings work better than late in the day.
That trading pullbacks in the yellow box don’t work so well as it’s a choppy area where there was no decisive direction, so you might wait until you get below the yellow box.

You might also decide that you will trade pullbacks in the direction of the trend, no matter how far that trend has gone. 

This is just one example of an understandable trade, so you understand that you will adopt and then adapt naturally.

What you can’t do – is trading “free for all”. Many novice traders attempt to trade on the basis of “I think the market is trying to do X and I will do Y” – and every day “X” is a totally different thing. There is no consistency in approach. 

You do need to learn or be taught how the market moves. You can’t just switch on the screen and jump in. 

You have to remember Trading Rule #4 too – you have to stay in your trading lane and keep it simple.

My trading ‘how’ clicked at Singapore’s Financial District networking events (Harry’s Boat Quay), where traders were shocked I stayed awake for their market talk—more on learning later.

Get the knowledge, and by all means, follow someone else’s path. Just know that their path and yours will naturally diverge at some point and that’s how it’s supposed to be. 

It may surprise you that there is no Tradebert Einstein hidden in a secret lab creating trading setups. You will discover your own. It’s something that will occur as naturally as me scratching the rims on my wife’s car.

Just let it happen.